2011 Corporate Responsibility Report Cabinda Gulf Oil Company Limited Message from the Managing Director

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2011 Corporate Responsibility Report Cabinda Gulf Oil Company Limited Message from the Managing Director 2011 Corporate Responsibility Report Cabinda Gulf Oil Company Limited Message from the Managing Director Cabinda Gulf Oil Company Limited (CABGOC) is proud to be a part of Angola’s thriving culture and we share a passionate drive for progress. CABGOC has a strong history of both positive contributions to the social welfare of the Angolan people, and of operations conducted with the highest standards of excellence — working in Angola safely, reliably, and efficiently. We view each year as an opportunity to surpass our accomplishments. This corporate responsibility report provides many examples of how we demonstrate our dedication to delivering on our social investment commitments to Angola. Working with our business partner Sonangol, the Angolan government, community members, and program implementers, we made great strides in 2011, helping people build healthier and economically stronger lives, and we work continuously to help Angolans flourish. In this report, you’ll find stories on our many health-related projects, details on how we are increasing access to training and education, and information on our efforts to support sustainable economic growth. Our commitment to Angola is rooted in our long-term mutually beneficial relationship. We remain privileged to play a major role in this remarkable country’s ever-brighter future. Thank you for your interest in our efforts. Your thoughts and comments are always most welcome. Sincerely, Richard P. Cohagan Managing Director Cabinda Gulf Oil Company Limited On the cover: In 2011, Chevron initiated the first program ever conducted in Angola to test, diagnose, and treat sickle cell disease. 2 | Cabindaabinda GulfGulf OilOil CompanyCompany LimitedLimited The Chevron Way Getting Results the Right Way At the heart of The Chevron Way is our vision to be the global energy company most admired for its people, partnership, and performance. Our company’s foundation is built on our values, which distinguish us and guide our actions. We conduct our business in a socially responsible and ethical manner. We respect the law, support universal human rights, protect the environment, and benefit the communities where we work. The Chevron Way explains who we are, what we do, what we believe, and what we plan to accomplish. It establishes a common understanding for all employees and all who interact with us. The company’s values are integrity, diversity, ingenuity, partnership, protecting people and the environment, and high Chevron employees at the company’s booth during Elite Careers job fair in Luanda in June 2011. performance. 2011 Corporate Responsibility Report | 3 About Cabinda Gulf Oil Company Operations and Business Portfolio Chevron subsidiary Cabinda Gulf Oil Company Limited (CABGOC) ranks among Angola’s top petroleum producers, with a total operated daily production of 543,000 barrels of liquids (139,000 net) in 2011. We continue to invest billions of dollars in major energy projects intended to dramatically increase oil production and conserve natural gas for use in Angola. Chevron has interests in four Block 0 contains 21 fields, divided In the western part of the Lifua concessions in Angola, and operates into areas A and B. In 2011, total Field, we completed an appraisal two of them. daily production averaged 340,000 well with successful flow tests from barrels of liquids (108,000 net). While post-salt Likouala and Vermelha Among our most important offshore drilling within Block 0 remains a zones. Development opportunities investments are priority, several major infrastructure are being evaluated. y the Benguela Belize–Lobito projects are focused on eliminating Tomboco and Tombua-Landana routine flaring of natural gas, Block 14 platforms. handling increasing production, and Since 1995, when the exploration y the Mafumeira Norte and renewing older facilities. license was first awarded, Block Mafumeira Sul projects. The Area A Gas Management 14 has undergone an aggressive y the Malongo Flare Relief and Projects were designed to eliminate exploration program that has Modification Project and the routine flaring of natural gas. With resulted in 11 discoveries. Activity Nemba Enhanced Secondary completion of the Malongo Flare during 2011 concentrated on well Recovery Project. and Relief Modifications Project in planning at key prospects expected November 2011, all projects have to be drilled in 2012. We also have an interest in Angola been completed, and as of year-end Liquefied Natural Gas Limited, an In 2011, total daily production was 2011, flaring had been reduced by onshore liquefied natural gas (LNG) 187,000 barrels of liquids (29,000 approximately 70 million cubic feet joint venture. net) from Benguela Belize–Lobito of natural gas per day by reinjecting Tomboco, Kuito, Tombua and CABGOC is Angola’s largest excess natural gas into the Takula Landana Fields. international oil company employer and Malongo reservoirs. with 3,130 Angolan employees — The Benguela Belize facility is At Mafumeira Sul, located in the 88 percent of our workforce. the industry’s first application of Southern Malongo Area, front-end Angolans fill 76 percent of the local compliant piled-tower structural engineering and design activities professional and supervisory roles. technology outside the Gulf of continued for development of: Mexico. Compliant piled-tower y a central processing facility platforms are attached to the Exploration and y two wellhead platforms seafloor but are able to flex safely with the constant forces of wind, Production y approximately 75 miles (121 km) of waves, and currents. The drilling subsea pipelines and production platforms Benguela Block 0 y 50 wells. Belize at 1,680 feet (512 m) and Chevron operates the Block 0 Tombua Landana at 1,200 feet At the end of 2011, proved reserves concession, located offshore (366 m) are among the world’s had not been recognized for this adjacent to the Cabinda coastline. tallest man-made structures. project; however, maximum total With our partners, we are working daily production is expected to Studies to evaluate development on a major development program to reach 110,000 barrels of crude alternatives for the Lucapa Field significantly increase production. oil and 10,000 barrels of Liquid continued throughout 2011. The Petroleum Gas (LPG). development concept includes an 4 | Cabinda Gulf Oil Company Limited Takula field, at Block 0, offshore Cabinda Tombua Landana accommodations FPSO and subsea wells that will be Angola Liquefied Natural Gas (ALNG) located in approximately 4,000 continued into 2011. Commissioning feet (1,219 m) of water. At the end of The centerpiece of the Angola began in July that year, and 2011, proved reserves had not been Liquefied Natural Gas project is its mechanical completion was achieved recognized for this project. 5.2 million-metric-ton per-year LNG plant. The facility, located onshore in in December; startup is expected in Block 2 and Fina Sonangol the northern part of the country, is the second quarter of 2012. designed to process 1.1 billion cubic The plant will be operated by Texaco Area feet of natural gas per day produced Sociedade Operacional Angola LNG, Chevron holds a 20 percent from offshore fields. S.A, an Angolan-registered company working interest in Block 2 located Chevron has a 36.4 percent interest owned by the shareholders of the offshore and adjacent to Angola’s in the project. Construction of ALNG project. northwestern coast. Chevron the LNG plant began in 2008 and has a 16.3 percent interest in the onshore Fina Sonangol Texaco area. Pointe-Noire REPUBLIC In neither concession is Chevron OF THE CONGO the operator. In 2011, total daily ATLANTIC OCEAN production averaged 16,000 barrels Djeno of liquids (2,000 net). Kitina Terminal Congo River Canyon Wamba ANGOLA Nsano (Cabinda) Crossing Moho-Bilondo Banzala Nkossa Project construction began in 2011 Moho Nord Takula Nsoko for this 87 mile (140 km) pipeline, LIANZI Malongo DEVELOPMENT Lomba part of which will be routed offshore, Numbi Malongo ZONE Kuito Terminal under the Congo River subsea Benguela Nemba Vuko canyon, from Angola’s Blocks 0 and Tomboco Belize Malange Kungulo Limba 14 to the Angola LNG plant in Soyo, Lobito Vanza Angola. The canyon crossing will be Lianzi Longui Bomboco Area A Landana accomplished by drilling intersecting BLOCK 0 Mafumeira wells from small fixed platforms Kokongo Tombua installed on each side of the canyon. N'Dola Lucapa Sanha DRC Chevron holds a 38.1 percent Gabela interest in the pipeline designed to BLOCK 14 Area B Libwa transport up to 250 million cubic Negage Tshiala feet per day of natural gas. East Angola LNG Project ANGOLA Chevron Activity Highlight Crude Oil Field Natural Gas Field Terminal 2011 Corporate Responsibility Report | 5 Chimbicado School in Luanda, which opened in January 2011, serves 1,500 students. Corporate Responsibility Investments Highlights & Geographic Coverage y Approximately 2.2 million people directly benefited from Chevron Nearly US$20 Million in Social Investments in 2011 and partner-assisted programs. Investment17% byHealth Sector y Over $19.2 million was invested 17% Health in Community Social Projects 39% Education in Angola. 39% Education 8% Agriculture/Fisheries 8% Agriculture/Fisheries y CABGOC helped improve access to basic human needs, education, 3% 3%SME SME health care services and helped 3% Capacity Building support sustainable livelihoods 3% Capacity Building through agriculture, fisheries, 5% Water, Environment, 5%Sanitation, Water, and Environment, Safety and small-and-medium enterprise Sanitation, and Safety development. 25% Donations & Memberships 16% Donations & Memberships y Community Engagement projects were carried out in 16 provinces of Angola. Our Community Engagement Presence in Angola 2011 Cabinda Block 0/Block 14 & Chevron Sole: Zaire Uige Cunene, Huila, Huambo, Malange, Uige, Cuanza Norte, Luanda, Bengo Luanda Malange Lunda Norte Cabinda and Lunda Norte. Cuanza Norte Lunda Sul Block 0 and Block 14: Lunda Sul Cuanza Sul and Namibe. Chevron Sole: Moxico, Bié, Cuanza Bié Huambo Moxico Benguela Sul, Benguela and Bengo. Huila Namibe Cuando Cubango Cunene A classroom at Chimbicado School.
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